Mg 11-kls C-Pemeriksaan Akt 1

A company uses benchmark data to assess losses from theft. It then compares its own data with those of other companies.

• Risk assessment

• Control activities

• Information and communication

• Monitoring

The company adopts the use of narratives and data flow diagrams to document the procedures relating to its financial reporting.

• Risk assessment

• Control activities

• Information and communication

• Monitoring

The audit committee is committed to establish procedures for “whistleblowing” any accounting, internal control, and auditing matters from employees, customers, and suppliers.

• Risk assessment

• Control activities

• Information and communication

• Monitoring

• Control Environment

The accounting department performs a three-way match by comparing data between the purchase order, goods received note, and invoice to ensure mathematical accuracy.

• Control environment

• Risk assessment

• Control activities

• Information and communication

  Monitoring

The company establishes a number of key performance indicators for many financial processes. The management then regularly tracks the performance according to es-tablished targets for evaluation.

• Control environment

• Risk assessment

• Control activities

• Information and communication

• Monitoring

The company strictly follows a full system development life cycle when it develops in-house software. This covers implementation, security, and conversion issues of the software

• Control environment

• Risk assessment

• Control activities

• Information and communication

• Monitoring

The company publishes a bi-monthly newsletter on its intranet. The newsletter includes a column on matters relating to the company’s code of conduct, which emphasizes the importance of integrity.

• Control environment

• Risk assessment

• Control activities

• Information and communication

• Monitoring

The company has developed a financial and internal control reporting package. The accounting department generates the reports every month and submits them to the directors for review.

• Control environment

• Risk assessment

• Control activities

• Information and communication

• Monitoring

An internal audit department has been established to conduct separate evaluations on the company’s internal controls.

• Control environment

• Risk assessment

• Control activities

• Information and communication

• Monitoring

The company constantly reviews websites, social media, and trade publications in order to observe changes in the external market. The management then assesses the impact to the company’s operations.

• Control environment

• Risk assessment

• Control activities

• Information and communication

• Monitoring